Vestis Corporation (NYSE: VSTS) reported Q1 EPS of $0.13, $0.10 worse than the analyst estimate of $0.23. Revenue for the quarter came in at $705.4 million versus the consensus estimate of $728.65 million.

Revised Fiscal Year 2024 Outlook

We now expect to deliver fiscal 2024 revenue growth in the range of (1)% to 0%. Adjusted EBITDA margin is now expected to be between 12.0% and 12.4%. We continue to expect $15 to $18 million in incremental public company costs in the period.

We are actively pursuing a portfolio of cost efficiency programs, accelerating logistics and merchandise optimization, and identifying and implementing the optimal organization structure to accelerate growth.

Our strategic imperatives include disciplined capital allocation with deleveraging as a priority. We continue to expect strong free cash flow conversion and anticipate a ratio of free cash flow to net income greater than or equal to 100%.

For earnings history and earnings-related data on Vestis Corporation (VSTS) click here.